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Home My WebLink About05. Award a construction contract in the amount of $4,412,700 to Precision Engineering, Inc., for Pleasant Hill Sewer Renovations, Phase 3, DP 100068O��ENTRAL MEETING DATE: DECEMBER 19, 2024 BOARD OF DIRECTORS POSITION PAPER Page 1 of 7 Item 5. SUBJECT: AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $4,412,700 TO PRECISION ENGINEERING, INC., THE LOWEST RESPONSIVE AND RESPONSIBLE BIDDER FOR THE PLEASANT HILL SEWER RENOVATIONS, PHASE 3, DISTRICT PROJECT 100068; TRANSFER $6,235,000 TO FUND THE PROJECT; AND FIND THAT THE PROJECT IS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITYACT (CEQA) SUBMITTED BY: INITIATING DEPARTMENT: JASON FITCH, ASSOCIATE ENGINEER ENGINEERING AND TECHNICAL SERVICES- SASHA MESTETSKY, SENIOR ENGINEER CAPITAL PROJECTS REVIEWED BY: EDGAR J. LOPEZ, CAPITAL PROJECTS DIVISION MANAGER GREG NORBY, DEPUTY GM - ENGINEERING & OPERATIONS Roger S. Bailey General Manager ISSUE The Board of Directors (Board) must consider awarding a construction contract or reject bids within 50 days of a public bid opening. Board authorization is also required to transfer funds of more than $500,000 in the Capital Improvement Program. BACKGROUND The Pleasant Hill Sewer Renovations, Phase 3, District Project 100068 (Project) is part of the ongoing sewer renovation within the Capital Improvement Budget and Collection System Program aimed to replace or rehabilitate deteriorated sewer infrastructure that is at the end of its useful life and in poor condition. The Project has been coordinated with other improvements being completed by the Contra Costa Water District (CCW D) and the City of Pleasant Hill's paving plans, as well as other utilities, businesses, private property owners, and tenants. December 19, 2024 Regular Board Meeting Agenda Packet - Page 26 of 97 Page 2 of 7 This Project will replace or rehabilitate approximately 9,400 feet of small -diameter sewers, maintenance access structures, and other related sewer work within public rights-of-way and private easements. Central San staff prepared the plans and specifications for the Project. Construction methods primarily include open trench and pipe burst rehabilitation. An overview map of all site locations is shown in Attachment 1. Originally, the Project was expected to replace 7,300 feet of sewers and was increased to 9,400 feet to accommodate the work proposed by CCW D and the City of Pleasant Hill under this phase. Corrections to the project description and budget will be made for the next fiscal year. Phase 4 will complete all the planned construction work initiated several years ago with CCW D and the City of Pleasant Hill in the Gregory Gardens area. The Engineer's estimate for construction is $6,700,000. This Project was advertised on October 28 and November 4, 2024. Eight sealed bids ranging from $4,412,700 to $6,446,380 were received and publicly opened on November 14, 2024. The Capital Projects Division conducted a technical and commercial review of the bids and determined that Precision Engineering, Inc. (Precision) is the lowest responsive and responsible bidder with a total bid amount of $4,412,700. A summary of bids received is shown in Attachment 2. Central San will administer the construction contract and provide construction management, resident engineering, survey, administration, and submittal review. Consultant inspection will be performed by one of Central San's consultant inspection service contracts. CEQA Staff has concluded that this Project is exempt from CEQA under Central San CEQA Guidelines Section 15302 because it involves replacement of existing facilities at substantially the same locations and with the same purpose and level of activity as the facilities being replaced. Any capacity increases are for non - growth inducing, wet weather purposes. The Project also is exempt under Central San CEQA Guidelines Section 15061(b)(3), since it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment. This certainty is based on Central San's experience with numerous sewer construction projects of this nature, the relatively short distance involved, and Central San's mitigating construction specifications. These specifications are standardized general and special conditions that are made part of the Project bid documents to address environmental considerations, such as protecting trees and riparian areas, as well as compliance with applicable federal, state, county, district, municipal and local laws, ordinances, orders, and regulations. Approval of this Project will establish the Board's independent finding that this Project is exempt from CEQA. ALTERNATIVES/CONSIDERATIONS The planning effort for this Project has been difficult to coordinate due to the below industry standards for the existing utilities and paving in the neighborhood. Performing this work along with the other agencies is cost effective for all parties and reduces public impacts to the residents. No alternatives are recommended by staff as this work has been coordinated with the City of Pleasant Hill, CCW D, private property owners, nearby residents, and other utilities. The Board may provide alternate directions; however, any alternative would require an action to reject all bids. FINANCIAL IMPACTS The total estimated project cost is $6,885,000 which includes planning, design, bid price, contingency, construction management, and consultant costs as detailed in Attachment 3. This Project is included on page 251 of Central San's Fiscal Year 2024-2025 Budget, and the construction will be funded by the Collection System Sewer Renovation, Phase 2 on page 239. There is December 19, 2024 Regular Board Meeting Agenda Packet - Page 27 of 97 Page 3 of 7 adequate funding available in Phase 2 of approximately $12,746,000. A transfer of $6,235,000 is needed to fund the Project, which will result in a new available balance of approximately $6,511,000 in the Phase 2 budget. Staff is recommending a 20 -percent contingency on this Project. The traditional and standard amount for sewer renovation work is 15 percent; however, more contingency is needed to have flexibility and budget for additional work, and to allow for replacement of sewers scheduled under Phase 4. Depending on the City of Pleasant Hill's paving funds and or grants, other street locations may be added. COMMUNITY OUTREACH Central San staff did extensive homeowner outreach to prepare residents for the upcoming construction work. Initial project letters were sent in October of 2023 informing residents of the design work. Throughout the course of design, staff addressed email and phone inquiries regarding the Project and conducted in-person outreach with several easement homeowners. The public was also invited to a public workshop that was held at the Pleasant Hill Senior Center on October 17, 2024, to address any questions or concerns regarding the Project. Additionally, the public was encouraged to reach out with any additional questions or concerns they may have. To date, all questions and concerns received have been answered and addressed. COMMITTEE RECOMMENDATION The Engineering and Operations Committee reviewed this matter at its meeting on December 4, 2024 and recommended approval. RECOMMENDED BOARD ACTION Staff recommends the following: 1. Find that the Project is exempt from CEQA; 2. Award a construction contract in the amount of $4,412,700 to Precision Engineering, Inc., the lowest responsive and responsible bidder, for the construction of the Pleasant Hill Sewer Renovations, Phase 3, District Project 100068; and 3. Authorize the General Manager to transfer $6,235,000 from the Collection System Sewer Renovation, Phase 2, District Project 100039 to fund the Project. Strategic Plan Tie -In GOAL ONE: Customer and Community Strategy 1— Deliver high-quality customer service, Strategy 3 - Build neighborhood and industry relations GOAL TWO: Environmental Stewardship Strategy 1 - Achieve compliance in all regulations GOAL FOUR: Governance and Fiscal Responsibility Strategy 2 - Encourage and facilitate public participation GOAL FIVE: Safety and Security Strategy 2 - Protect personnel and assets from threats and emergencies GOAL SIX., Infrastructure Reliability Strategy 2 - Execute long-term capital renewal and replacement program December 19, 2024 Regular Board Meeting Agenda Packet - Page 28 of 97 Page 4 of 7 ATTACHMENTS: 1. Project Location Map 2. Summary of Bids 3. Post Bid/P reconstruction Estimate December 19, 2024 Regular Board Meeting Agenda Packet - Page 29 of 97 Page 5 of 7 Pleasant Hill Sewer Renovations Phase 3 Attachment 1 rce,uggg InDistrict Project 100068 Map Date: 11/8/2024 Martinez N 0 t� Mile Concord Walnut Creek regory- QProject Location and Number Chi/p 'Ci") o Ploy Oak Park Blvd Pie No Central San data as of November 2024. I N 0 Feet 2'000 I California lState ayed lPlanne, Zone III FIPSn North American a0403 tum of 1983 December 19, 2024 Regular Board Meeting Agenda Packet - Page 30 of 97 Page 6 of 7 Attachment 2 PLEASANT HILL SEWER RENOVATIONS, PHASE 3 DISTRICT PROJECT 100068 SUMMARY OF BIDS PROJECT NO.: 100068 NO. OF ADDENDA: 1 DATE/TIME: NOVEMBER 14,2024/2:00 PM PROJECT NAME: PLEASANT HILL SEWER RENOVATIONS, PHASE 3 PROJECT MANAGER: JASON FITCH PROJECT LOCATION: CENTRAL SAN SERVICE AREA ENGINEER'S ESTIMATE: $6,700,000 NO. BIDDER BID PRICE 1 Precision Engineering, Inc. $49412,700 San Francisco, CA 94124 2 K.J. Woods Construction, Inc. $5,138,000 So. San Francisco, CA 94083 3 Cratus, Inc. $5,624,350 San Francisco, CA 94116 4 Glosage Engineering, Inc. $5,695,103 Richmond, CA 94804 5 Bay Pacific Pipeline Incorporated $5,762,400 Novato, CA 94948 6 Con -Quest Contractors, Inc. $5,988,889 Burlingame, CA 94010 7 Garney Pacific, Inc. $6,419,637 Tracy, CA 95391 8 Devaney Engineering, Inc. $6,446,380 San Francisco, CA 94109 BIDS OPENED BY /s/ Katie Young DATE: November 14, 2024 December 19, 2024 Regular Board Meeting Agenda Packet - Page 31 of 97 Page 7 of 7 Attachment 3 PLEASANT HILL SEWER RENOVATIONS, PHASE 3 DISTRICT PROJECT 100068 POST-BID/PRECONSTRUCTION ESTIMATE No. Item Description Amounts % Of Construction Cost 1. CONSTRUCTION a. Construction Contract $4,412,700 b. 20% Contingency $882,300 c. Permits $100,000 SUBTOTAL - CONSTRUCTION COST $5,395,000 100% 2. CONSTRUCTION MANAGEMENT a. District Forces - Construction Management (Engineering, Survey) $350,000 - Public Relations/Right-of-Way $60,000 - Operations (CSO) $30,000 b. Consultants - Inspection $300,000 - Material Testing/Geotech/Arborist/Others $100,000 SUBTOTAL - CONSTRUCTION MANAGEMENT $840,000 16% 3. PREBID EXPENDITURES a. Engineering (Design, Survey, Right -of -Way, Drafting) $650,000 SUBTOTAL - PREBID EXPENDITURES $650,000 12% 4. TOTAL ESTIMATED PROJECT COST $6,885,000 December 19, 2024 Regular Board Meeting Agenda Packet - Page 32 of 97